Bitcoin’s rally paused Tuesday as markets braced for the Federal Reserve’s March 18 decision. After briefly topping $76,000 overnight, BTC settled near $74,000-up modestly over 24 hours.
The Fed is widely expected to hold rates steady at 3.50%-3.75%. But attention centers on Chair Jerome Powell’s tone-and whether he signals rate cuts in 2026 or pivots to a 'higher-for-longer' stance.
Powell’s view on surging oil prices will also be critical. A temporary-shock assessment supports risk assets; a stagflationary interpretation would constrain policy flexibility.
Wednesday’s February Producer Price Index report adds volatility risk. Bitfinex analysts called a 'hot PPI + hawkish FOMC' the most damaging combo for equities and crypto.
Market pricing now reflects a 60% probability rates remain unchanged through July-up from 22% last month. Cuts are increasingly pushed into late 2026.
Strategy’s latest $1.18 billion preferred stock raise-equivalent to ~16,800 BTC-marks its first major shift away from common equity funding. Annual dividend obligations now exceed $1 billion.